Perham seeks to dump incinerator

By Bob Williams | The Daily Journal

Published Saturday, October 27, 2007

By Bob Williams

Daily Journal

The City of Perham, in a letter to the Otter Tail County Commissioners, the Perham City Council, and Commissioners in Todd, Wadena and Stearns County, announced to opt out of joining a Joint Powers Board (JPB) regarding the Perham Resource Recovery Facility. Rather than stay with the current governance or join the Board, the City made it known they are interested in selling the facility to the JPB.

“We’re paying Perham $84,000 per year as an administrative fee for managing the facility,” Bill Stearns, Wadena County Commissioner said.

A special meeting of the commissioners from all counties involved, along with employees from the facility was held Friday at the Government Service Center in Fergus Fall to discuss the upcoming formation of the JPB. Several meetings were held prior which determined the need to form a JPB. The counties have a lot of financial risk while maintaining limited authority to direct operations.

“Governance problems is nothing new with this group,” Mike Hanan, Otter Tail County Solid Waste Director said. “The way the governing documents exist now, Perham owns the facility, makes all the day to day decisions like tipping fees but don’t pay any fees.

In the end they don’t see the consequence of their action. If the tipping fee goes up 10 dollars we’re tremendously impacted by that decision.”

A second issue is future expansion of the facility. Other issues to be considered after new governance is determined are to draft an agreement for sale of the facility from the City of Perham. An executive director, along with Humans Resources and Payroll personnel need to be hired. A budget needs to be approved and plans for expansion are to be finalized.

Stearns County, which appeared to be interested in leaving the facility, seems now in a position to stay, although not without negotiation.

“The letter from Perham has helped,” Don Otte, Stearns County Commissioner said. “We never felt Stearns has wanted to be involved without a joint powers group.”